The disciplinary committee of the Institute of Chartered Accountants of India (ICAI) has concluded that the chartered accountant who audited and certified the balance sheet of the Global Trust Bank (GTB) for the financial year 2000-01 is guilty of professional misconduct.
The report of the disciplinary committee for the financial year 2000-01 has now been sent to the central council of the ICAI. Audit firms Lovelock & Lewes/Price Waterhouse were auditors of GTB for the years under ICAI’s scanner.
The ICAI President, Mr Uttam Prakash Aggarwal, told Business Line that the central council of the ICAI will discuss the report at its council meeting in March and decide on the further course of action.
“The report is for the financial year 2000-01. Two of the three auditors have been found guilty of professional misconduct. For the other years of 2001-02 and 2002-03, the reports are yet to be finalised by the disciplinary committee,” Mr Agarwal said. He declined to reveal the names of the auditors found guilty of professional misconduct. Mr Aggarwal did not want to name the audit firms that they represented.
Indications are that these members found guilty would be given an opportunity to present their views before the council takes a final decision. The ICAI is looking into the role of auditors in the erstwhile GTB for the three financial years ended March 31, 2001, March 31, 2002 and March 31, 2003.
